Roberto Cavalli’s acquisition by DAMAC Properties is currently in the final stages of approval, a major step towards the purchase of the esteemed Italian luxury brand’s holding company. The offer from the Dubai-based property development group, facilitated through its subsidiary Vision Investment, has already received the green light from Cavalli’s majority shareholder Clessidra, the label itself, and the Milan trade court.
This significant transaction involves a substantial €160 million, with €60 million earmarked for a share capital increase and €100 million designated to settle outstanding debts with creditors. While specific details have yet to be confirmed by Cavalli, all parties involved are optimistic about sealing the deal by August 3 pending the trade court’s approval.
The acquisition process, navigating the complexities of the Milan court, has presented unique challenges that go beyond standard private sales, as highlighted in a recent press release by Cavalli. An independent expert appointed by the court will carefully review the industrial plan put forth by Vision Investment, with the transfer of shares anticipated to be completed by September.
DAMAC Properties has emerged as the favored contender in the race to acquire Roberto Cavalli, surpassing competitors such as Renzo Rosso’s OTB and the US-based Bluestar Alliance. With a solid market capitalization of $4 billion and a prominent listing on the Dubai stock exchange, DAMAC is well-positioned to lead the brand into a new era of prosperity and growth.
Looking forward, Gian Giacomo Ferraris is expected to assume the role of CEO at Roberto Cavalli under DAMAC’s ownership, aiming to stabilize the brand’s financial standing and revitalize its presence in the luxury sector. However, concerns have been raised by Cavalli’s employee committee regarding the relaunch strategy, seeking reassurances on job security and the ongoing operations at Cavalli’s headquarters in Osmannoro, near Florence.
In essence, the impending acquisition of Roberto Cavalli by DAMAC Properties signifies a pivotal moment for the renowned Italian luxury label, with upcoming developments contingent on final court approval and the effective execution of the proposed industrial plan.
For more information on the acquisition of Roberto Cavalli by DAMAC Properties, please visit Business of Fashion and Vogue Business.
